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Dedicated Team model in Startups. Does it work?

The dedicated team model is a great way to include competent experts in the field to improve your product development. When you work with a reputable remote partner, you can also significantly lower development costs because it takes a lot of time and money to establish a fully functional in-house team. instead of hiring and training the necessary professionals on your own, you can access a much larger talent pool. Additionally, a trustworthy vendor will assume complete accountability for project management and any staffing specifics.


Your startup can benefit greatly from the extensive experience and adaptability of a committed team. The professionals you hire can work as diligently as if they were employees of your company.


Table of Content

01. What is a dedicated team model?


02. How can it help your startup?


03. How to Hire a Dedicated Development Team for a Startup?


04. When You Should not hire a Dedicated Team Model?


05. So does it work?


What is a dedicated team model?

A dedicated team is a business model that refers to an agreement between the client and the service provider. The latter provides long-term software development professionals to the client. 59% of companies outsource to cut costs and the dedicated team model is one of the most popular outsourcing options due to its nature. These specialists are chosen based on the client's requirements for their experience and skill set. The client may choose to manage the team himself or herself or to entrust communication coordination to the service provider's project manager. The team usually works out of the office of the service provider.


The dedicated team model has a very straightforward and open pricing structure: there are monthly payments based on the size of the team. The payment is made up of the salaries of the members and the service provider's fee, which covers administrative costs.




Long-term projects that are subject to change typically use this model. It is the ideal solution for both mid-sized businesses that require developers with the necessary skills who will only work on their projects and startup businesses that don't want to invest their resources in finding specialists or building a team.



How can it help your startup?


1 . Giving you flexibility with projects. 

Dedicated development teams are eager to support your project by coming up with the best answers. Video conferencing and other contemporary tools make it incredibly simple to communicate with outside developers. Everything can be handled by you and your team at home.


Working with outsourcing development firms that will find or create dedicated development teams for you is much simpler. Instead of worrying about assembling a new team, you can simply take pleasure in working with a skilled group of experienced professionals. The outsourcing software company will be in charge of assembling teams and infrastructure to communicate with developers, as well as recruiting specialists in accordance with your needs. The outsourcing firm handles all of the work, and you will receive daily or weekly reports.


Do you place a high value on project flexibility? We feel the same way! Send us a message at any time if you want to discuss your startup goals with a panel of adaptable experts.




2 . Saving your time

Hiring a committed team enables you to concentrate on your project rather than wasting your time on menial tasks like finding development experts, assembling a team of developers, or setting up the project and communications infrastructure. Additionally, it saves you from having to rent a space or find a place for the team to work. If you're based in the United States or Europe, hiring a dedicated development team will be much less expensive than building your own software development team.

All you have to do is communicate your goals, the project's requirements, and the number of specialists you'll require to the ideal outsourcing software development company once you've found one. The rest will be handled by them.


3 . Maximize your efficiency

Dedicated teams strive toward the same objective and feel like they are a part of the project team. The outsourcing company's project manager looks out for the group and makes sure that work is finished on schedule.


As a startup or midsize business, you and your clients can freely observe the committed team as they complete the assigned tasks and responsibilities. The outcomes can be evaluated, and requirements or procedures can be changed as necessary. The outsourcing business will assist you in scaling your team if you have new requirements. Expanding or contracting the team of developers is simple. You are always free to choose the best specialists who will complement your devoted team.



How to Hire a Dedicated Development Team for a Startup?

Of course, when hiring dedicated developers for your project, you need to find a team with relevant expertise and the required set of skills. For that, one should prioritize the project's specifics and move on to making fundamental decisions.


1 .Define the goals

It's a good idea to start by defining the basics, such as the project's budget and tech stack.

The cost is typically determined by the number and complexity of the product's features, as well as the kind and location of the hired team. Any chance to cut development costs is always welcome, especially if your startup funding is severely constrained. Your frontend, backend, and mobile app platform's technology selection also has a big impact. It should perfectly match the features of your app. The technology you choose should also have a large developer community because you will need to maintain and update the product after the launch.


2 .consider the compatibility of cultures.

Finding communication and cultural fit is a more challenging objective. These elements are not immediately apparent or verifiable. The dedicated team model, however, is founded on one of these fundamental ideas. The candidate team's attitude and behavior are validated in terms of their cultural fit with your company's culture and core values.


A good communication fit is equally important because it will show how well the client-vendor relationship will go. One of the most important potential problems is miscommunication, so you need to reduce the risk.



When You Should not hire a Dedicated Team Model?

1. For small projects 

For small projects with clearly defined requirements, you don't need a committed and involved team. A team of people is required to complete the tasks assigned when the work scope is precisely defined. In this scenario, the Time&Material approach is appropriate for middle-term businesses while a fixed price model is ideal for short-term projects. 


2. When you got a low budget

Choosing a dedicated team model is not the best choice when your project budget is strictly fixed. Sometimes you simply don't need a full-time project manager or designer. In this instance, a fixed-price model is more than adequate to produce the desired outcome.

So does it work?


Start-ups and SMEs must be aware of the advantages of hiring talent remotely. Despite the potential drawbacks, the benefits outweigh the drawbacks. In addition, there is a seemingly endless supply of talent from which businesses can select.


Let's go over the drawbacks and benefits of the dedicated team model to gain a better understanding of the process.



  • A fixed and predictable budget
  • Requests can change at any time because the scope is not clearly defined
  • Complete authority over the team's management
  • Dedicated team members are well-versed in the project and business objectives of the client
  • Daily interaction with the team in constant communication
  • The team is reliable and completely committed to the specific client.



  • Ineffective for quick projects
  • Crewing can take time, team management can take time as well (unless you choose to use the project manager provided by the service provider)
  • For projects that don't require ongoing software development, the Dedicated team model might cost more than the Time & Material model.


Now that you know whether to hire a dedicated team for your startup or not, you can make a rational decision. If you still have questions about startups, feel free to browse through our startup catalog to find the answers you are looking for!




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